Tuesday, October 2, 2007

Buyer's Market=Seller's in Mourning

So the market seems to be settling down somewhat. The last few months have been a bit crazy. And, as I've said before, the market is not plummeting or caving in...it is simply correcting itself. A lot of questionable practices led us to where we are now. And, where are we now? It looks more and more like a buyer's market every day. So, where does that leave the sellers?

On this point, I would like to defer to the wisdom of real estate guru Joe Niego, one of the top presenters with Buffini & Company (the real estate coaching service I use, as many of you know). Joe says that sellers are currently going through the classic five stages of mourning.

Many sellers bought real estate in the last 5 to 10 years, saw their neighbors real estate profits go through the roof, and expected the same will happen for them. In fact, many of them think they fairly deserve it. Unfortunately, the market dictates price, and that leads to sellers in mourning, as Joe says.

So what are the five stage of mourning you might expect to go through if you are getting ready to sell your home?

  1. Denial--"This won't happen to my amazing house"
  2. Anger--"Why aren't I getting top dollar, like my neighbor did last year?"
  3. Frustration--"But I want and deserve a threefold profit...make it happen!"
  4. Disappointment--"It is what it is, but I'm not happy about it"
  5. Acceptance--"The market dictates price, and this is the price someone is willing to spend on my home."

This is also a very strong reminder of the emotional part of selling your home. It is not just a gigantic financial transaction, it is also your home. No wonder emotions can take control. If you are looking for assistance in better understanding the financial and emotional sides of selling a home, please let me know. I am always happy to help. I can be reached at 510-547-5970 x57 or MSmartt@jps.net

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